Alcoa (NYSE:AA) Sees Large Growth in Short Interest

Alcoa (NYSE:AA) saw a large growth in short interest in March. As of March 13th, there was short interest totaling 8,612,080 shares, a growth of 19.6% from the February 26th total of 7,203,338 shares. Currently, 3.3% of the shares of the company are short sold. Based on an average trading volume of 7,645,967 shares, the days-to-cover ratio is presently 1.1 days.

Alcoa Price Performance

AA traded up $3.09 during trading on Tuesday, reaching $66.31. 8,399,806 shares of the company traded hands, compared to its average volume of 7,766,024. The company has a market cap of $17.50 billion, a P/E ratio of 15.00 and a beta of 1.85. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.87 and a current ratio of 1.44. Alcoa has a 12-month low of $21.53 and a 12-month high of $68.40. The firm has a fifty day simple moving average of $60.93 and a 200 day simple moving average of $49.20.

Alcoa (NYSE:AA) last released its earnings results on Thursday, January 22nd. The industrial products company reported $1.26 EPS for the quarter, topping the consensus estimate of $0.95 by $0.31. The firm had revenue of $6.75 billion for the quarter, compared to the consensus estimate of $3.28 billion. Alcoa had a net margin of 9.12% and a return on equity of 16.19%. The company’s quarterly revenue was down 1.1% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.04 earnings per share. On average, equities analysts forecast that Alcoa will post 4.43 EPS for the current year.

Alcoa Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, March 26th. Shareholders of record on Tuesday, March 10th were issued a dividend of $0.10 per share. This represents a $0.40 annualized dividend and a dividend yield of 0.6%. The ex-dividend date of this dividend was Tuesday, March 10th. Alcoa’s dividend payout ratio is 9.05%.

Institutional Investors Weigh In On Alcoa

Large investors have recently made changes to their positions in the company. Basepoint Wealth LLC bought a new position in Alcoa during the fourth quarter valued at approximately $25,000. Advisory Services Network LLC bought a new stake in Alcoa in the 3rd quarter worth approximately $27,000. Raleigh Capital Management Inc. raised its holdings in shares of Alcoa by 52,500.0% during the 4th quarter. Raleigh Capital Management Inc. now owns 526 shares of the industrial products company’s stock worth $28,000 after acquiring an additional 525 shares in the last quarter. Root Financial Partners LLC purchased a new stake in shares of Alcoa during the 3rd quarter worth approximately $29,000. Finally, CoreCap Advisors LLC boosted its position in shares of Alcoa by 74.1% during the 4th quarter. CoreCap Advisors LLC now owns 557 shares of the industrial products company’s stock valued at $30,000 after acquiring an additional 237 shares during the last quarter.

Analyst Upgrades and Downgrades

A number of equities analysts have weighed in on the stock. Morgan Stanley reiterated an “overweight” rating and issued a $52.00 price target on shares of Alcoa in a research report on Monday, December 15th. Citigroup raised their price objective on shares of Alcoa from $54.00 to $76.00 and gave the company a “buy” rating in a research report on Monday, March 16th. Wall Street Zen upgraded shares of Alcoa from a “hold” rating to a “buy” rating in a research note on Saturday, February 21st. JPMorgan Chase & Co. raised shares of Alcoa from an “underweight” rating to a “neutral” rating and upped their target price for the stock from $50.00 to $68.00 in a report on Friday, March 13th. Finally, UBS Group raised their price target on Alcoa from $48.00 to $70.00 and gave the company a “neutral” rating in a report on Thursday, March 12th. Four analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $50.45.

Key Stories Impacting Alcoa

Here are the key news stories impacting Alcoa this week:

• Positive Sentiment: Geopolitical supply shock — Iranian strikes on Gulf smelters have tightened global aluminum supply, lifting LME futures and creating immediate pricing tailwinds for producers. Iran’s Attacks on Gulf Aluminum Plants Threaten Supply Crisis
• Positive Sentiment: Direct market reaction — Multiple reports show Alcoa shares rallying after the attacks as investors rotate into U.S. suppliers seen as safer sources of metal and potential margin beneficiaries. Alcoa Corp. (AA) Soars 8% on Aluminum Supply Concerns
• Positive Sentiment: Derivative activity and volume — Unusual options flow (large call purchases) and above-average share volume signal speculative and hedged positioning that can amplify short-term upside. (internal options/volume reports)
• Neutral Sentiment: Analyst views mixed but tilted positive — Some firms have raised targets citing higher aluminum pricing and supply risks, while others remain cautious; median targets sit near current levels, so further upgrades would be a catalyst. Alcoa rallies as aluminum prices stay elevated
• Neutral Sentiment: Industry headwinds exist — Related coverage (Constellium) notes that weaker automotive shipments could cap demand in some segments, an industry-level risk that could limit sustained upside if end-market demand softens. CSTM Gains From Strength in Automotive Structures Unit
• Negative Sentiment: Volatility and mean reversion risk — The rally is materially driven by a geopolitical event; if supply disruptions prove temporary or markets calm, LME prices and Alcoa’s stock could retrace. Alcoa Stock Was Getting Hit by Iran War. Why It’s Now Surging.
• Negative Sentiment: Macroe/operational uncertainty — Continued escalation in the Middle East increases volatility; Alcoa’s earnings sensitivity to realized metal and alumina prices means swings can be sharp and quick. Alcoa Surges 11% After Iran Claims Aluminum Plant Attacks

About Alcoa

Alcoa Corporation is a global industry leader in the production and management of aluminum, offering an integrated value chain that spans bauxite mining, alumina refining, primary aluminum smelting and the fabrication of value-added products. The company’s operations are organized into segments that include raw material extraction, chemical processing and the manufacture of metal mill products and engineered solutions.

Alcoa’s product portfolio serves diverse end markets such as aerospace, automotive, packaging, construction, electrical and industrial applications.